Get creative with bridging loans

Bridging finance has evolved to become so much more than a ‘chain break’ solution. With its flexibility and short-term nature, intermediaries are finding increasingly creative ways to take advantage of opportunities High Street lenders may not be able to help with.

Could you help a client get creative?

Development Finance exit

When development projects come to the end of their financing term, the lender funding the project will expect the developer to repay the loan in full. This can be close to impossible if the development hasn't sold.

Bridging loans can give clients access to the funding, and the time needed to repay the lender and then sell the development. 

Japanese knotweed

With the ability to damage building foundations, drainage systems and walls, many lenders may decline finance, withhold an offer until the Japanese Knotweed is removed or insist that funds to do the work be held in a separate account.

Bridging loans can help clients finance the work to remove the knotweed - before refinancing onto a traditional mortgage.  

Office conversion in Scotland

For property developers purchasing office blocks in Scotland to convert them into residential properties, traditional High Street lenders will typically not lend.

Using a bridging loan can enable clients to finance the funding of planning permission, the conversion works and then sell the properties as their exit route or refinance.

Splitting titles

Building a property on the same land as another property and splitting the title is often viewed as problematic by First Charge lenders – which is why securing a mortgage is less straightforward.

Bridging finance can give clients the opportunity to purchase the land, with the sale of the second property as their exit route and profit.

Get your creative juices in action by working with Enterprise Finance. Our bridging loans typically complete in two weeks, but it could be just days - and we can see your client's application through from enquiry to completion.

With extensive experience to hand and access to a range of lenders, we can help your clients with:

• Rates from 0.44% per month
• Up to 80% LTV (100% LTV available with additional security)
• Loan terms from 1 month up to 36 months (regulated bridging loans are for a maximum of 12 months)
• No upper age limits
• All credit profiles considered

For a quick chat, a meeting to discuss opportunities, or a more complicated deal on your desk – drop us a line or give us a call today on 020 8731 5333.